Niger nationalises state telecoms firm

Niger's parliament voted on Wednesday to nationalise the west African nation's telecoms firm Sonitel, backing away from a planned privatisation after a previous 31 billion CFA francs accord with Libyan company LAP Green foundered.

Niger said in August that it would launch a new bidding round for the company and its mobile arm SahelCom, which has 2.5 million subscribers and competes with Bharti Airtel, Atlantique Telecom's Moov and France Telecom in the Nigerian market.

"By this vote, the Niger Telecommunications Company (Sonitel) has been nationalised and the capital is wholly owned by the state," said Hama Amadou, president of Niger's national assembly after the vote.

Amadou said the nationalisation would allow the government to carry-out investments in the company over the next five years.

Sonitel was previously controlled by a Chinese-Libyan consortium, Dataport, but the Niger government scrapped that deal in 2009, partly because of a lack of investment.

The deal with Libya's Lap Green was scuppered after the firm was unable to meet the terms of the deal following UN sanctions against the government of Muammar Gaddafi.

Source: Business Day Online

Libya's LAP Green fights Zambia for Zamtel stake

Libya’s LAP Green sues Zambian government claiming $480m for seizure of stake in operator Zamtel

The Libyan Investment Authority’s telecommunications unit LAP Green Network is suing the Zambian government over the seizure of a 75% stake in Zambian fixed-line operator Zamtel.

LAP Green, a Gaddafi-era business with investments in a number of African operations, has filed a petition before the Zambian high court. The company has rejected the Zambian government’s claim that the stake was taken for “public purposes”, and is suing the government for $480 million.

Wafik Al-Shater, chairman of LAP Green, told the Zambian Watchdog: “LAP Green is very clear that the seizure of our shareholding in Zamtel by the Zambian government was illegal and unconstitutional, and to the detriment of both Zamtel and its customers.”

LAP Green claims it revived the bankrupt operator by enhancing and upgrading infrastructure and systems, which facilitated improved network performance and superior customer service.

Al-Shater said: “In the 18 months that Zamtel was under LAP Green’s management, we increased its total subscriber base by 600% — to over one million at the start of 2012 — and significantly increased the company’s market share, leading to a 50% increase in revenues. The growth and prosperity that Zamtel saw under our management was unprecedented.”

Zambia’s previous government sold a majority stake in Zamtel in 2010 for $257 million to LAP Green, when Muammar Gaddafi still ruled Libya. However, an enquiry by the next elected government held that the stake was sold fraudulently, and the deal was reversed. The government seized control of Zamtel in January 2012.

LAP GreenN says if the stake is not restored it will seek financial compensation of the asset’s value at the time of seizure, $480 million, plus dditional claims on account of the losses arising due to the seizure.

Al-Shater told the Zambian Watchdog: “We are compelled to take this course of action as dictated by the procedure set out in Zambian law. To recover the company’s significant investment in Zamtel, LAP Green will consider any and all legal options available, if necessary, whether in Zambia or in other jurisdictions.” GTB

Source: Global Telecoms Business